Santa Fe minimum wage
Minimum wage in Santa Fe, New Mexico, in effect since March 1, 2026
$15.40 an hour
Santa Fe sets its own minimum wage, $3.40 above the New Mexico rate of $12.00. Employers in Santa Fe pay the higher local rate.
Next increase: $17.50 on January 1, 2027.
Tipped employees
Employers in Santa Fe can pay tipped employees a cash wage of $3.00 an hour, taking a tip credit of up to $12.40, as long as tips bring the employee to at least $15.40 for every hour worked. If they don't, the employer makes up the difference. An employee counts as tipped if they get employees who customarily earn $100 or more a month in tips or commission.
Scheduled increases
| Effective date | Standard rate | Tipped cash wage | Status |
|---|---|---|---|
| March 1, 2026 (current) | $15.40 | $3.00 | In effect |
| January 1, 2027 | $17.50 | — | Set in law One-time legislative increase (ordinance passed November 2025). |
How future increases are set
Adjusted each March 1 by the Western region CPI-W; from March 1, 2028, a blended formula (50% Western CPI-W + 50% HUD two-bedroom Fair Market Rent), capped at 5% a year and never decreased.
Exceptions and details
- "Living wage" ordinance covering all employers within city limits.
- The rate was $15.00 in 2025 and rose 2.68% to $15.40 for 2026.
- Tipped employers may pay a $3.00 base wage if base plus tips reaches at least $15.40.
- Tips, health care and childcare payments count toward the wage. Some exemptions apply to Medicaid-funded nonprofits.
Other local minimum wages in New Mexico
- Albuquerque $12.00
- Santa Fe County (unincorporated) $15.40
Running payroll in Santa Fe?
Recent changes
Last verified against the official source on October 9, 2026.
No changes recorded since we started tracking this page.
Sources
- City of Santa Fe (Economic Development) · data as of March 1, 2026 · last checked October 9, 2026
We copy figures from official sources and re-check them against the source before every update. See our methodology. This is general information, not legal advice.